Reconnaissance Energy Africa Ltd (ReconAfrica) has raised its fundraising target to C$32 million following strong demand from investors.
The Canadian-listed oil and gas company plans to sell approximately 33.7 million new units at C$0.95 each.
It will use the funds primarily to advance its oil discovery in Namibia, prepare additional drilling, and continue exploration in Angola and offshore Gabon.
Research Capital Corporation is leading the fundraising, with support from Canaccord Genuity and Haywood Securities.
ReconAfrica’s management and board members will also participate by investing in the offering.
Each unit includes one ordinary share and half a warrant, which gives investors the right to buy more shares at a higher price later.
The transaction is expected to close around 19 January 2026, pending regulatory approvals.
The company said the new funds will allow it to expand its work program throughout 2026.
This comes after results from the Kavango West 1X well in northeastern Namibia and the addition of the Ngulu Block offshore Gabon to its portfolio.
In Namibia, ReconAfrica plans extended testing at the Kavango West 1X well to better understand oil and gas production levels.
The company also plans to prepare a second well in the Kavango area to confirm the size and commercial potential of the discovery before considering full-scale production.
In Angola, ReconAfrica intends to speed up fieldwork near the Namibian border.
This work includes collecting surface samples where oil is visible and preparing surveys to guide future drilling. Field teams are expected to start in April 2026.
In Gabon, the company focuses on the offshore Ngulu Block, which includes the Loba discovery. It is reviewing and updating existing survey data to better assess the block’s potential and identify a future drilling location.
Some of the funds will also cover general corporate expenses and day-to-day operations.
ReconAfrica operates in Namibia, Angola, Botswana, and Gabon, aiming to carry out exploration while minimizing environmental impact and meeting international environmental and social standards.
source:observer24.com.n
African Energy Council